Shares of EV automaker NIO are up about 3% in the pre-market session after the company was able to buck the semiconductor shortage and report deliveries for June that were on the high end of analyst expectations.
The Chinese automaker reported on Thursday morning that it had delivered 8,083 cars in June, bringing its second quarter total of vehicles delivered to 21,896 vehicles. Those numbers were at the high end of the company’s forecast for deliveries of between 21,000 and 22,000 for the quarter, CNBC noted.
The company’s press release stated:
NIO delivered 8,083 vehicles in June 2021, a new monthly record representing a robust 116.1% year-over-year growth. The deliveries consisted of 1,498 ES8s, the Company’s six-seater or seven-seater flagship premium smart electric SUV, 3,755 ES6s, the Company’s five-seater high-performance premium smart electric SUV, and 2,830 EC6s, the Company’s five-seater premium smart electric coupe SUV. NIO delivered 21,896 vehicles in the three months ended June 2021, a new quarterly record representing a strong increase of 111.9% year-over-year. As of June 30, 2021, cumulative deliveries of the ES8, ES6 and EC6 reached 117,597 vehicles.
The company’s June numbers are in contrast with a decline in monthly deliveries that it posted sequentially, from April into May.
The bump in price comes just days after Citigroup upped its price target on Nio to $72, from $58.30, and maintaining its buy rating on the company.
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“We expect NIO to deliver robust shipment volume in Jun-21E, followed by sequential QoQ improvement in 3Q and 4Q, even without significant easing of the sector-wide chip shortage,” the Citi note read, raising the company’s 2021 sales volume estimates to 93,000 units, from 90,000. It also raised its outlook on 2022-23 estimated volume to 160-230k units, from 155-225k.
Nio now has delivered 41,900 vehicles for the first half of 2021, which, as CNBC notes, has almost already surpassed 2020’s total of 43,728 total vehicles delivered. For comparison, Tesla delivered 184,800 vehicles worldwide in Q1.
However, Nio‘s rising production is indicative of a larger trend of new EV players entering the fray and adding pressure to Tesla, who no longer stands alone as a primarily EV-focused automaker. Tesla shares have sputtered this year, falling about 3.5%, while Nio shares have risen about 9% on the year.
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